Question 1:Prepare some budgets in Excel for HammerTime.

a)Show the static budget based on 3,000,000 units (boxes) produced.

b)Show the flexible budget based on 2,000,000 units (boxes) produced.

c)Show the flexible budget based on 4,000,000 units (boxes) produced.

d)Show the flexible budget cost formula(s) for HammerTime.

Question 2:The month of January 2019 is complete, and HammerTime wants to compare their budget to their actual results.Actual results are shown in the table above.

a)Compare January's actual results to the static budget you created in Question 1.

b)Analyze the static budget variances. Be sure to break out price and volume variances and whether they are favorable or unfavorable for each line item.

c)Create the flexible budget based on actual units produced for January.

d)Compare actual results to budgeted results for the flexible budget.